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  (Source: Goodfon)
Apple's profit is flat due to higher manufacturing costs

While Apple managed to surpass analysts' profit forecasts for the fiscal 2013 first quarter, the company's stock took a tumble as investors worry over Apple's ability to maintain steady growth with new products.

Apple reported a revenue of $54.5 billion for the quarter ended December 29, 2012, compared to $46.33 billion in the year-ago quarter. The tech giant just missed analyst expectations of $54.73 billion.

Apple also earned a net profit of $13.1 billion ($13.81 a share) compared to $13.1 billion ($13.87 a share) a year ago. Profit clearly remained pretty flat, but it exceeded analysts' expectations of $13.44 a share.

The iDevice maker also noted that it had record iPhone sales for the quarter at 47.8 million (compared to 37 million in the year-ago quarter). It also had an uptick in iPad sales, from 15.4 million in the year ago quarter to 22.9 million in the most recent quarter.

“We’re thrilled with record revenue of over $54 billion and sales of over 75 million iOS devices in a single quarter,” said Tim Cook, Apple’s CEO. “We’re very confident in our product pipeline as we continue to focus on innovation and making the best products in the world.”

While Apple did okay for the quarter, investors are concerned with the company's flat profit due to higher manufacturing costs and also worry whether Apple can keep up its momentum with product popularity. Many new devices are hitting the market at lower prices and offer newer, better features. For instance, the iPad's market share was bested by Google's Nexus 7 tablet in Japan mainly due to cost differences.

Apple's stock has lost nearly 25 percent of its value since September 2012 ($170 billion in market value).

In after-hours trading today, Apple's stock fell over 10 percent.

Looking forward to fiscal 2013 second quarter, Apple expects a revenue of between $41 billion and $43 billion.

Earlier this month, it was reported that Apple had cut iPhone screen and component orders by 50 percent for the first quarter of 2013.

Source: Apple



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This article is over a month old, voting and posting comments is disabled

Hey DT, how about some non-AAPL coverage?
By DukeN on 1/24/2013 10:40:08 AM , Rating: -1
You know, maybe tell us a little about GOOG and RIMM who have been performing very well on the markets of late...

Or are you about to be renamed AppleTech Daily?




RE: Hey DT, how about some non-AAPL coverage?
By DukeN on 1/24/2013 11:03:38 AM , Rating: 2
RIMM article is more than a month old.

Stock has DOUBLED since.


By retrospooty on 1/24/2013 9:55:28 PM , Rating: 2
"Stock has DOUBLED since"

Rimm's stock did double recently, but doubling after dropping to 1/20th it's previous high isnt really a great thing. Just to add, that was not a typo, it was down to 5% its high from several years ago when it hit 150)


RE: Hey DT, how about some non-AAPL coverage?
By retrospooty on 1/24/2013 9:55:29 PM , Rating: 2
"Stock has DOUBLED since"

Rimm's stock did double recently, but doubling after dropping to 1/20th it's previous high isnt really a great thing. Just to add, that was not a typo, it was down to 5% its high from several years ago when it hit 150)


RE: Hey DT, how about some non-AAPL coverage?
By DukeN on 1/25/2013 10:53:11 AM , Rating: 2
Yeah? It's actually more than tripled from it's 52-week low.

If NOK or AAPL had done that Dailytech's collective panties would be in quite the bunch..


By retrospooty on 1/25/2013 11:16:54 AM , Rating: 2
No matter how you put it, it was 150 and now its 18.

Whatever though. BB10 looks good, I hope they can compete. More competition means faster innovation and lower prices for all.


"We shipped it on Saturday. Then on Sunday, we rested." -- Steve Jobs on the iPad launch














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